Kingfish warrants

[Not too Flash]

I note Kingfish Warrants are trading at under 10c.
According to release on 19/5/15 "

New warrants were issued during the year. The final exercise price will be


announced in October 2015, but is currently expected to be $1.18. All


warrants must be exercised on 6 November 2015 or they will lapse.





Based on this a total all up cost will be up to $1.28 while the share are currently trading at $1.35. I realise there will be some dilution when/if warrants are exercised at $1.18.

As a newbie I would appreciate any pitfall in this logic :confused:

[stoploss]

HI NTF , Is this the same thing ? If so check out this thread ...

http://www.sharetrader.co.nz/showthread.php?3048-KFL-discount-to-diluted-NAV&highlight=kingfisher

[Not too Flash]

Thanks - covers mainly NAV compared with Share Price - I was wanting any opinion on Warrants that are now being sold at 6 to 8 cents

[Not too Flash]

Lucky with the shares falling quickly I did not jump in boots and all.
Would still appreciate any advice on warrants v shares

[777]

By my calculation the amount to be paid is $1.172. So if you buy the warrant @ 6c then a head share will cost you $1.232 versus a market price of $1.29.

I figure there is a bit of selling to create cash for the November payment. I did that myself on Friday at $1.33 so I guess others are as well.

There also could be a sell off of warrants by those that can not find the money.

I am sitting on 100,000 warrants and intend taking them up unless if course the head share falls below the payment amount. That is the value of holding a warrant. You have a choice down the track.

[Not too Flash]

I see that the company say the payment due is $1.29-.1076 = 1.1824 with 6.5c warrant cost - $1.2474 - still a little bit of margin that may be worth a punt for 6 or so weeks.

[Chickens]

There have been a lot of KFLWC trading at 0.05 and under today. Seems like some folk are disposing of them before the exercise date of 06/11/15.

As that date approaches they may get cheaper still.

I bought a few, on the expectation that it will be a cheap way of topping up on KFL.

[Not too Flash]

And KFL share price up 4c to 1.31 and warrants down to 4.7cents. Go figure......

[Not too Flash]

And KFL share price up 4c to 1.31 and warrants down to 4.7cents. Go figure......
Share Price of Kingfish down to $1.23 warrants not looking as good now .....:t_down:

[Not too Flash]

There have been a lot of KFLWC trading at 0.05 and under today. Seems like some folk are disposing of them before the exercise date of 06/11/15.

As that date approaches they may get cheaper still.

I bought a few, on the expectation that it will be a cheap way of topping up on KFL.

And getting cheeper :D

[Sideshow Bob]

These turning into a dog. 2.2c, meaning expect shares to get below $1.202.

Got my info today but not sure going to bother to exercise.

[Chickens]

I wonder if a lot of holders might not bother to exercise the warrants.

In which case, the share dilution might be less significant than expected. We can only wait and see.

[tim23]

3-4c discount I remember this happening last time late 2012 when last warrants were due and they turned out to be a clever profitable trade.

[Not too Flash]

Interestingly the NTA of Kingfish is virtually the same as it was a month ago and yet the shares have fallen 10c or so.

Possibly the Kingfish shares may bounce back once the sale to get cash to buy warrants is over.

[777]

Interestingly the NTA of Kingfish is virtually the same as it was a month ago and yet the shares have fallen 10c or so.

Possibly the Kingfish shares may bounce back once the sale to get cash to buy warrants is over.


Sssh......

[Not too Flash]

NTA back up another cent to $1.2758 - $1.18 for exercising looking positive at this stage

[tim23]

Looks the go have said before last warrants in 2012 had same behaviour rebounded post exercise so similar to a typical rights issue scenario so expect them to bounce again.

[Not too Flash]

With just over a week of trading of warrants and a "gap" of 6c between $1.18 payment and $1.24 market value will be interesting to see if there is any late flurry

[Not too Flash]

Bit of action in Shares and warrants today .....

[Not too Flash]

NTA up again to 1.3161 today - up 4 cents from last week

[Not too Flash]

Warrants at under 3 cents - can anyone convince me why not to buy and exercise at $1.18 next week .....

[Chickens]

Assuming the objective is to own some KFL, it's marginally better than buying at present prices (which are volatile right now - might settle down after Exercise Date - Nov6? )

And if the objective is a quick turnaround, don't bet everything in case the turnaround isn't as quick as hoped. As always, keep some funds in reserve for opportunities yet unseen.

I have already bought warrants (@ 5 or 6c), and exercised them - intending to hold for DRP.

[Not too Flash]

Looking to get into Kingfish as cheap as possible with NTA now up again to $1.33.

Bought some at 5c and 1.18 = $1.23 looks OK. Thinking about a few more .......

A bit worried that the Warrant dilution may have some effect although should only be a couple of cents hopefully

[Chickens]

Looking at the difference between SP & NAV, and comparing it with historical differences, I think the dilution effect is already reflected in the present share price.

And although we won't know until a week or so after the exercise date, my guess is that the dilution might presently be over-stated.

[Not too Flash]

These turning into a dog. 2.2c, meaning expect shares to get below $1.202.

Got my info today but not sure going to bother to exercise.

With SP 1.26 and NAV 1.35 I believe there is still some value to be had